Been involved in this for a while and its been a bit of a roller coaster

SP was 20p+ 12 months ago but slipped in early 2010 with poor results/delays etc

On May 1 2010 its main asset in Bolivia was nationalised the SP fell to 8p, the government has promised to pay fair value compensation

There is a treaty between Bolivia and the UK other energy assets were seized too with French part state owned company GDF Suez also involved

This may be resolved around the 13 November as this is 6 months since the company served notice it could be earlier and 47M already penciled into recent accounts resulting in a 17M profit.

The SP has picked up towards the 14p level as institutions mainly Sterling investments now with 29% total institutions share holding is 87% have been hovering up any shares some at decent premiums

The valuation is likely to be 20p+ again when this is sorted along with positive news from their other asset in Argentina. regarding tariffs and refinancing cash flow and profitability more news on this is due shortly.

I know there isnt such thing as a risk free share but with the treaty and the problems with the World bank/foreign Investors etc if they default I can only see it going one way, the other thing could happen is they fight over the valuation which may be costly and protracted but Im thinking this is already in the current price

So with good news likely in the next month and little shares in the market and demand from institutions this has to be worth having a look at with some valuations talked about of 35p

I know its a bit brief but gives you a favour of the risks/opportunities

Biggest shareholder keeps on buying



Rurelec PLC
Notifiable Interest
RNS Number : 7974U
Rurelec PLC
21 October 2010



Rurelec PLC

("Rurelec" or "the Company")



Notifiable Interest



Rurelec, the owner and operator of power plants in Latin America, announces that it received notification on 19 October 2010 that Sterling Trust Limited has acquired from Independent Power Corporation PLC ("IPC") 550,000 of Rurelec Convertible Loan Notes (CLN) and 2,200,000 Warrants to subscribe for new ordinary shares of 2p each in the Company ("Ordinary Shares"). IPC is a company of which Peter Earl, Elizabeth Shaw and Susan Laker are directors but in which none of them has any beneficial ownership interest.



Sterling Trust Limited already holds an interest in 60,260,448 Ordinary Shares of Rurelec, representing 27.31 per cent of the issued share capital of the Company. If Sterling Trust were to convert its holding of CLNs and exercise its warrants, the resultant holding would represent 29.29 per cent of an enlarged Rurelec share capital, if no other holder converted or exercised their rights; and 26.71 per cent if all other holders of CLNs and Warrants converted and exercised their rights.





For further information contact:



Peter Earl, CEO,

Rurelec PLC
+44 (0)20 7793 5600








Paul Shackleton

Daniel Stewart & Company plc
+44 (0)20 7776 6550





This information is provided by RNS
The company news service from the London Stock Exchange

News due around 13th November or earlier will be 20p by then if not more

could be sorted this week with Bolivian VP in the UK this week

its on the move today all buyers speculation news due on Thu/Friday with Bolivan VP talking it up on Saturday